Does interest income from banks/CDs count against SSDI limits or just earned wages?

Good news - interest income from banks, CDs, investments, etc. does NOT count against SSDI earned income limits! The SSA only counts earned income (wages from a job or net earnings from self-employment) toward the Substantial Gainful Activity (SGA) limit for SSDI. Unearned income like interest, dividends, rental income, or gifts doesn't affect your SSDI benefits at all. So feel free to put your money in that CD or high-yield account without worrying about your benefits.

interest doesn't matter for SSDI but watch out if you get SSI too, interest DOES count for that one. lots of people get them mixed up

The previous replies are correct, but I'll add some technical details. SSDI (Social Security Disability Insurance) only counts earned income toward the SGA limit ($1,550/month for 2025 if you're not blind). Unearned income like interest, dividends, or capital gains will NOT affect your SSDI at all. However, be aware that if you file taxes, your SSDI benefits themselves might become partially taxable if your combined income (adjusted gross income + nontaxable interest + half of your SSDI benefits) exceeds certain thresholds - but that's a separate issue from your eligibility for benefits.

ive been on disability for 12 years and i get interest from my bank. never had ANY problems with social security about it. but i did have problems when i tried working part time at walmart. they cut me off even tho i was under the limit. took 4 months to fix

I faced a similar situation last year when investing in some CDs. As others have confirmed, interest income doesn't affect SSDI at all. But when I had a question about how my brief part-time work might affect things, I couldn't get through to SSA for weeks! I finally used a service called Claimyr (claimyr.com) that got me connected to an actual SSA agent in under 2 hours instead of waiting on hold forever. They have a video showing how it works at https://youtu.be/Z-BRbJw3puU. It was so much better than the endless busy signals and disconnects I kept getting when trying to call directly.

While unearned income like interest doesn't affect your SSDI eligibility or amount, I strongly recommend keeping documentation of all your income sources just in case. SSA occasionally does reviews, and having clear records showing which income was earned vs. unearned can save a lot of headaches. I keep a simple spreadsheet distinguishing between my disability benefits, interest income, and the small amount I make selling crafts (staying under SGA limits). This has been invaluable during reviews.

My aunt put money in CD and then SSA cut her check!!! be careful!!!

Thank you everyone for the helpful responses! I'm going to go ahead and open that high-yield savings account tomorrow. So glad to know that interest won't affect my SSDI benefits. It's not like I'll be earning a ton anyway with current rates, but every little bit helps when you're on a fixed income. I appreciate all the clarification about the difference between SSDI and SSI too - I definitely just have SSDI based on my work history, not SSI.

Smart move! Just wanted to add one more thing - when you're shopping for high-yield savings accounts or CDs, make sure they're FDIC insured. Since you're on a fixed income, you want to protect that principal. Also, consider laddering CDs (splitting money between different term lengths) so you're not locked into one rate for too long. With interest rates still decent right now, it's definitely better than letting your money sit in a regular checking account earning nothing. Good luck!

Just wanted to chime in as someone who's been navigating SSDI for a while - you're absolutely making the right call! I moved my emergency fund into a high-yield savings account about 6 months ago and it's been great peace of mind knowing I'm at least earning something on it. The interest won't make you rich, but when you're on SSDI every extra dollar helps with rising costs. One thing I learned is to keep screenshots or statements showing the interest income is clearly marked as such (not wages) in case you ever need to show SSA during a review. They've never asked me about it, but better safe than sorry. Hope you find a good rate!

I've been through this exact worry! When I first went on SSDI, I was terrified to do anything with my money because I didn't want to accidentally trigger a review or lose benefits. But after doing research and talking to SSA, I can confirm what others have said - interest income from savings accounts, CDs, money market accounts, etc. is completely fine and won't affect your SSDI at all. The key distinction is "earned" vs "unearned" income. Your SSDI only cares about money you actively work for (wages, self-employment). Passive income like interest, dividends, inheritance, gifts - none of that matters for SSDI eligibility or amount. I've been earning interest for 2 years now with zero issues. Just make sure you understand the difference between SSDI and SSI like others mentioned, because SSI does have asset limits. Good luck with your CD shopping!

As someone who works in disability advocacy, I want to reinforce what others have said - you're absolutely safe putting your money in CDs or high-yield savings! The SSA's definition of "countable income" for SSDI purposes is very specific and only includes earned income from work activities. Interest, dividends, and other investment returns are classified as unearned income and have zero impact on your SSDI benefits. I've helped hundreds of clients navigate these questions over the years, and I always encourage people to make their money work for them within safe investments like FDIC-insured accounts. Just keep good records and don't let fear of the system prevent you from basic financial planning. You've earned the right to grow your savings!

I'm so glad you asked this question because I was wondering the exact same thing! I've been on SSDI for about a year now and have been too scared to even look into better savings options because I didn't want to risk my benefits. Reading through all these responses has been incredibly educational - I had no idea about the distinction between earned and unearned income, and honestly the similar names (SSDI vs SSI) have been confusing me too. It's such a relief to know that we can actually try to make our savings work a little harder without jeopardizing our disability benefits. I think I'm going to start researching some high-yield savings accounts myself now. Thanks for being brave enough to ask what so many of us were probably thinking!

I just want to echo what everyone else has said and add my own experience - I've been on SSDI for 5 years and have had money in CDs and high-yield savings the entire time with zero issues. The interest income has never been questioned or counted against my benefits. What really helped me was calling SSA directly early on to confirm this (though I know getting through can be a nightmare). The representative explained that SSDI only looks at "substantial gainful activity" which specifically means work income, not passive income from investments or savings. I've gone through two routine reviews since then and my interest-earning accounts have never even been mentioned. It's such a relief to know we can at least try to keep up with inflation a little bit instead of watching our money lose value sitting in checking accounts!